CNN remains a major financial contributor to Warner Bros. Discovery’s linear TV business, and the company expects the news network’s revenue to grow top-line revenue over the next five years, assuming its direct-to-consumer streaming business offsets television losses.
But CNN isn’t the cash cow it once was. The network is expected to have adjusted operating income of about $600 million in 2026, according to Warner Bros. Discovery’s filing with the SEC on Tuesday. Ten years ago, before Donald Trump’s first election as U.S. president, CNN was on track for gross profits of nearly $1 billion, The Washington Post reported at the time.
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WBD does not disclose CNN’s financial status. But on Tuesday, the company disclosed revenue and profit projections for CNN (and the rest of its business) from 2026 to 2030 as part of its proxy statement supporting the Warner Bros. sale. movie and television studio HBO, HBO Max to Netflix – the company has amended the terms of the acquisition to an all-cash deal valued at $27.75 per share (replacing a previous cash and stock offer).
CNN is expected to generate $1.8 billion in revenue in 2026, increasing by $100 million in each of the next four years to reach $2.2 billion by 2030, according to the filing. This is based on the assumption that CNN’s streaming subscription business will really take off during that period. According to WBD’s filing, CNN’s core revenue will decline at a compound annual growth rate of -4% from 2026 to 2030. This decline is expected to be offset by “new platform revenue,” which is expected to reach approximately $600 million by 2030. Last fall, CNN launched All Access, a $6.99-a-month streaming service.
CNN’s latest financial information was revealed in a recent defamation trial. CNN’s revenue in 2023 was about $1.8 billion, down from $2.2 billion in 2021, according to the company’s court documents.
WBD released a new CNN forecast supporting the valuation of Discovery Global, which will be spun off in Q3 2026 ahead of Warner Bros.’ sale to Netflix. Discovery Global consists of networks including CNN, TNT Sports in the US and Discovery, free-to-air channels across Europe, and digital products such as the Discovery+ streaming service and Bleacher Report.
WBD said in its Jan. 20 proxy filing that its board’s analysis of “selected public companies” on a part-total basis showed Discovery Global’s approximate implied stock value reference range was $2.41 to $3.77 per share. Additionally, the company said its analysis of Discovery Global, including potential future acquisitions (based on some transaction analysis), indicated that Discovery Global was valued at between $4.63 and $6.86 per share. Paramount Skydance, which is waging a hostile takeover battle against WBD, claimed that its analysis showed that Discovery Global’s stock would be worth zero (although it accepted that Discovery Global’s theoretical M&A value was $0.50 per share).
WBD said Discovery Global’s financial projections were “not prepared with public disclosure in mind.” Rather, the company included it in its proxy statement. “This information was submitted to the WBD Board in connection with the evaluation of the Merger Agreement and the transaction contemplated thereby, and the overall evaluation of Discovery Global, and because potential DG financial information was made available to certain of the potential counterparties and their representatives, including Netflix, in part, in connection with such counterparties’ due diligence reviews of WBD.”
Please note that the Netflix-World Bank deal requires US regulatory approval. And President Trump insists he will be “involved in that decision.”
In December, President Trump opined that CNN should be sold as part of an overall sale or separately as part of “any deal” with WBD. “I think we should sell CNN, because I think the people who are currently running CNN are either corrupt or incompetent,” he said at a White House press conference. President Trump said he doesn’t want current CNN management to get anything in return by being able to continue operating the network “with money” from the contract.
